Response to the Financial Express Article dtd. July 5, 2002

Dear Visitor,
You must have read the article titled, "Blue Dart FedEx may part ways; Chairman's stake on the block", in today's edition of the Financial Express. The contents of the story are factually incorrect and far removed from reality. This is a malicious act of some parties with vested interests, to tarnish the image of Blue Dart.

We are enclosing the communication sent by us through our Company Solicitors to the Financial Express in response to the article published by them, which we feel is targeted at defaming our leadership position in the market place. We assure you that all necessary actions will be taken against the involved parties.

Clyde Cooper
Managing Director
Blue Dart Express Limited

No. 003366
AND/2002
July 5, 2002

Dear Sirs,
Re: Article titled "Blue Dart, FedEx May Part Ways; Chairman's Stake On The Block" on page 1 (ctd. on page 13) of the issue of Financial Express dated July 5, 2002.

We are concerned for our clients Blue Dart Express Ltd, on whose instructions we have to address you as under:

1. Our clients have read the captioned article, which has been prominently published by you, obviously at the instance of vested interests.

2. Our clients strongly object to both the title and the contents of the captioned article. The allegations in the title, and the content of the article, are factually incorrect. By publishing this article you have caused enormous loss, harm and damage to our clients', and to their reputation. You have also adversely affected the sentiments of our shareholders and employees, and put at significant risk our clients reputation and goodwill with the investing public, and the regulators. Our clients deny the allegations contained in the captioned article, and call upon you to publish this letter, with at least as much prominence as the captioned article, in your issue tomorrow, correcting the false information that you have disseminated through your captioned article, and also simultaneously prominently publish your apology for having published the captioned article, and a statement withdrawing the allegations contained in the captioned article, and desist from publishing any similar articles or republishing or allowing to be republished the captioned article.

3. At the outset our clients record that our clients have built up an excellent reputation on the basis of their strong business performance and corporate governance, both in the domestic courier business, which accounts for a significant majority of our clients' turnover, as also the international express business, where our clients have worked with Federal Express.

4. Our clients have always enjoyed the full support of their promoters and shareholders, including the Chairman, Mr Tushar Jani. There is no question of Mr Jani proposing to divest his stake in our clients. As such the allegations contained in your article to this effect are vehemently denied.

5. The allegation that the alleged cause of Mr Jani's alleged divestment is that FedEx has decided to snap its ties with our clients is also false and is denied.

6. The agreement between FedEx and our clients expires on September 30, 2002, and our clients opted not to renew it in its current form as far back as July, 2001, by giving notice to that effect to FedEx, and for reasons known to the parties concerned. FedEx has consistently found our clients services to be of high quality, and have praised our clients from time to time. As such, there is no truth in the speculation published by you.

7. It is surprising that despite our clients having categorically stated to you, as reported in the article, that what was being asked by you was mere speculation, you have gone ahead and published the article.

8. Our clients further deny that they have lost clients as alleged. The future of our clients business is secure. The suggestion that our clients' business is in any manner dependent on the agreement with FedEx is also false and misleading. The bulk of our clients business has been and continues to be as a domestic courier, and the international segment is a relatively small portion of the business, which our clients have full capability of continuing to handle with the best quality going forward.

9. As can be seen from the factual position set out above, the allegations in the captioned article are ex-facie false, baseless, reckless and made maliciously with the intent of causing, loss, harm and injury to our clients. These allegations have injured the reputation of our clients, and have been made without just cause and are calculated or likely to cause damage to our client's business. These allegations are per se defamatory and lower our clients image in the eyes of the public. The article has been published recklessly with no regard for the truth and with a calculated motive of defaming our clients, and has been published despite knowing the allegations to be false.

10. In the circumstances aforesaid, our clients call upon you to comply with the requisitions set out in paragraph 2 above, failing which our clients will be constrained to initiate appropriate proceedings against you, entirely at your risk and cost.

11. Our clients reserve their right to claim damages for publishing the captioned article.

Yours truly,
Anand Desai

For further information contact :

marketing@bluedart.com
Dated : July 05, 2002